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New Competition to Shake Up Cameroon's Telecom Market

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The entry of a new MVNO in Cameroon and the award of the third MNO license anticipated by the end of this year is expected to shake up the country's telecom landscape, according to Pyramid Research.

"The telecom market in Cameroon is currently a duopoly of mobile services and a monopoly of fixed services, but recent activity will change this configuration," says Ronda Zelezny-Green, Associate Research Analyst at Pyramid Research.

At the end of May 2012, MINPOSTEL opened a tender for a third mobile license which will see the arrival of 3G technology, giving the MNO a distinct advantage in the market. Prospects for the planned MVNO Eto'o Telecom are similarly encouraging if they are able to negotiate a wholesale price for the minutes they resell at a rate cheaper than MTN and Orange.

Pyramid expects the new competitors to capture a mobile market share of 6.8% by 2017, impacting both operators to drop MTN's and Orange's shares to 48.7% and 44.5% respectively, she notes in the report.

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Tags: mvno  Cameroon